Seoul, the capital of South Korea, is a top-tier city for regulatory structure and digital infrastructure, according to CoinDesk’s Crypto Hubs 2023 report. It scored high for ease of doing business and its grassroots’ embrace of crypto puts the country within the top 15% of the world in the crypto adoption index. Despite a low opportunities score, which is a measurement of per-capita crypto jobs, companies, and events, Seoul is still a major crypto hub.
It’s no secret that Asia’s prominence in crypto is on the rise, especially after regulatory crackdowns in the United States, said the report. This is especially true in Seoul, where retail traders have the power to move global markets. For example, earlier this year XRP was soaring and UpBit, Korea’s biggest exchange, led global XRP trading volumes with more than $790 million in tokens traded over 24 hours.
Members of South Korea’s crypto community explained Seoul’s appeal in a few ways. One was an openness to experimentation, another was Korea’s prowess in gaming, and a third was simply its community of builders. It also doesn’t hurt to have good Internet connectivity and a relatively mobile-savvy population.
However, the regulatory situation in Korea may be a bigger obstacle. President Yoon Suk-Yeol’s came to power with the promise of a crypto-friendly agenda, but the spectacular crash of the algorithmic stablecoin project Terra Luna had a special impact in Korea. Some in the Korean community complain that regulation is mostly focused on fighting crime like money laundering, rather than on fostering growth and development of the industry.
Despite this, the next bull run could be all that it takes to give an extra push to this already vibrant market. As one Seoul-based crypto executive said, “Crypto craze during a bull market is exciting anywhere in the world, we turn it up a few notches and make it f**king amazing in Seoul.”